Should investors be wary of a potential pullback in the U.S. dollar, which rose despite a worsening unemployment rate in the U.S. jobs report?

Should investors be wary of a potential pullback in the U.S. dollar, which rose despite a worsening unemployment rate in the U.S. jobs report?

09.12.2024

Last weekend, the U.S. dollar fell against the yen following the release of the U.S. November employment report on the 6th. While nonfarm payrolls came in higher than the market forecast of 200,000 at 227,000, the unemployment rate rose by 0.1 percentage points from 4.1% to 4.2%.The USD/JPY pair fell from 150.693 to 149.372. The price dropped to the -3σ level of the hourly Bollinger Bands. On the daily chart, the price is facing resistance at the 200-day SMA.

Despite the improvement in Germany’s October industrial production data released on the 6th—which showed a year-on-year decline of 4.5% compared to the previous month’s 4.6% drop—the euro fell slightly against the U.S. dollar. The EUR/USD pair dropped from 1.0629 to 1.0543, breaking below the 20-period moving average (MA) on the hourly chart and falling just below the 75-period MA.On the daily chart, the 20-day moving average is acting as a resistance level, causing prices to pull back.

Today’s schedule includes Japan’s second preliminary estimate of real GDP and balance of payments at 8:50, China’s Producer Price Index at 10:30, Indonesia’s Consumer Confidence Index at 12:00, Sweden’s Expected Price Trends at 14:30, Norway’s Producer Price Index at 16:00, Taiwan’s trade balance at 17:00,at 9:00 PM, Mexico’s Consumer Price Index; at 10:30 PM, remarks by Ramsden, Deputy Governor of the Bank of England; at midnight, U.S. Wholesale Inventories; and at 1:30 AM, a U.S. 6-month Treasury bill auction. We should watch for a potential pullback in the U.S. dollar, which rose despite the worsening unemployment rate in the U.S. jobs report.

Past Market Reports

1. 17.04.2026New

   Will the market wait and see how much further the U.S. dollar can rise against the yen?

2. 16.04.2026New

   Will the weakening Swiss franc recover? Attention is turning to price movements during European trading hours.

3. 15.04.2026New

   Market participants are likely keeping a close eye on the upside potential of the euro, which has risen against the U.S. dollar

4. 14.04.2026New

   Should we keep an eye on remarks by key figures in the U.S. and try to gauge the direction of currency strength?

5. 13.04.2026New

   Market participants are likely watching for signs of a rebound in the Canadian dollar, which fell against the U.S. dollar following the release of employment figures

6. 10.04.2026

   Will the weakening Swiss franc continue to strengthen against the yen, or should we wait and see?

7. 09.04.2026

   Will the U.S. dollar, which has fallen against the yen, continue its downward slide, or should we wait and see how the market moves?

8. 08.04.2026

   Should we keep an eye on the upside for European currencies that have risen against the U.S. dollar?

9. 07.04.2026

   Market participants may be wary of further downside potential for the U.S. dollar, which has weakened amid concerns over the situation in Iran

10. 06.04.2026

    Investors should be wary of sudden spikes in volatility while major markets are closed